Australia tightens student visas: 4 in 10 Indian visas rejected in 2026

Australia sees record student visa refusals in 2026, with Indian applicants facing stricter checks, higher evidence requirements and rising post-study visa costs

Australia has begun tightening student visa approvals, with refusal rates rising sharply in early 2026, including around four in 10 applications from Indian students being rejected. Applicants from India, Nepal and Bangladesh face steep declines in visa approvals this year compared to 2025, according to data from Australia’s Department of Home Affairs.

 

Refusal rates for international university student visas reached 32.5 per cent in February this year.

 

This marks the highest monthly rejection rate recorded in the past two decades and is more than double the 2025 peak of 15.5 per cent. South Asian applicants account for the highest refusal rates, with 60.2 per cent of Nepalese, 47.2 per cent of Bangladeshi and 40 per cent of Indian applications refused. By contrast, refusal rates for Chinese applicants remained at 3 per cent.

   

The number of student visas granted has also fallen. Australia issued 34,000 visas to overseas applicants in January and February combined, the lowest level since 2013 outside the Covid period.

 

What has changed for Indian students

 

Australia’s Department of Home Affairs has tightened requirements under the Simplified Student Visa Framework.

 

Indian applicants have been moved from Evidence Level 2 to Evidence Level 3. This means they must now provide more detailed financial documentation and stronger proof that their primary purpose is study.

 

Higher evidence levels generally involve closer scrutiny of applications, including checks on financial capacity, academic intent and compliance history.

 

Graduate visa fee doubles from March

 

Alongside tighter student visa checks, Australia last month increased the cost of its post-study work visa.

 

On March 1, the application fee for the Temporary Graduate visa was doubled from AUD 2,300 to AUD 4,600, or from about Rs 1.49 lakh to about Rs 2.97 lakh. The change has led to concern across the international education sector, with students and representative bodies saying the increase came without warning and added to overall costs.

 

The Temporary Graduate visa, also known as Subclass 485, allows eligible foreign graduates to stay and work in Australia for 18 months to up to three years after completing their studies. Many students also see it as a pathway that can lead to permanent residency.

 

From March 1, 2026, the non-refundable application fee for this visa rose to AUD 4,600, up from AUD 2,300, which had been in place since July 2025.

 

“The new fee, announced without warning on March 1, 2026, is more than 10 times, three times, and twice the amount that students pay for similar visas in Canada, New Zealand, and the UK, respectively,” according to ICEF Monitor.

 

Across three fee increases in 2024, 2025 and now 2026, the Temporary Graduate visa application fee has more than doubled.

 

Migration pressures and political context

 

The changes come alongside wider migration pressures.

 

Net overseas migration stood at 306,000 in 2024–25, with total arrivals at 568,000. Since Anthony Albanese became Prime Minister in May 2022, around 2.47 million people have arrived in Australia, with net migration at 1.5 million.

 

Home Affairs data shows India is the largest source of permanent migrants to Australia, followed by China, the Philippines, the United Kingdom, Pakistan, Sri Lanka, Nepal, Vietnam, South Africa and Brazil.

 

Rising migration has coincided with increased rental and housing costs. This has fed into domestic political debate, with growing support for the One Nation party.

 

Population shifts within cities have also been recorded. Around 33,000 residents left Sydney and 8,600 left Melbourne, according to official figures, amid concerns linked to population changes.

 

Government response

 

Australia has said it will continue to accept students who meet the criteria.

 

“Decisions on student visas are made on the merits of each individual application and the government won’t back off on strong integrity measures to weed out non-genuine students,” said Julian Hill, Assistant Minister for International Education in a statement.

 

India’s continuing role in student inflows

 

Despite the rise in refusals, India remains a key source of students.

 

In 2025, students from India, Nepal, Bangladesh and Bhutan together accounted for nearly one-third of Australia’s international student population. Indian students alone numbered about 140,000 out of roughly 650,000 international students.

 

How this affects applicants

 

< Students may now need to show higher bank balances and clearer funding sources

< Applications with gaps in study history or unclear course relevance may face closer checks

< Short-term or low-value courses may be examined more strictly

 

The tighter settings mean applicants will need to prepare more detailed documentation and demonstrate clear academic intent when applying.